Risk of Difficulty Securing Subcontractors, Higher Costs and Insufficient Service Provision
First written in FY2023. 3 of 5 entries say "Worsened", first in FY2024. Latest entry: FY2026.
O.B.System moved to the "Worse" side of this theme in 2024, 1 year before the typical company in this theme (2025).
The whole theme swung hardest in 2026: 14 of 57 companies on the "Worse" side.
14 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「Subcontracting costs accounted for 42.6% of our Group’s manufacturing costs in the fiscal year ending March 2026. If we cannot obtain sufficient services from partner companies because of higher subcontracting costs or other factors, our performance and financial condition could be affected.」
The subcontracting-cost ratio declined from 45.0% to 42.6%. The risks of higher subcontracting costs and insufficient service provision continue to be managed through partner selection and ongoing evaluation. - 2026-05-14WorsenedFinancial Results Presentation
「At the same time, we anticipate higher costs, including personnel expenses and outsourcing rates.」
The company explicitly cited higher personnel expenses and outsourcing rates as assumptions underlying the plan for the fiscal year ending March 2027, in addition to the existing risk of rising outsourcing costs. - FY2025WorsenedAnnual report
「To make our relationships with partner companies more reliable, we implement measures including selecting new partners and conducting ongoing evaluations under our Group’s Subcontractor Management Regulations. However, subcontracting costs accounted for 45.0% of our Group’s manufacturing costs in the fiscal year ended March 2025, and if we cannot obtain sufficient services from partner companies because of higher subcontracting costs or other factors, our performance and financial condition could be affected.」
The subcontracting-cost ratio rose from 44.5% to 45.0%, and the risks of higher subcontracting costs and insufficient service provision continue to be disclosed. - FY2024WorsenedAnnual report
「In the fiscal year ended March 2024, subcontracting costs accounted for 44.5% of our manufacturing costs. If we cannot obtain sufficient services from partner companies because of higher subcontracting costs or other factors, our performance and financial condition could be affected.」
The subcontracting-cost ratio rose from 41.3% to 44.5% of manufacturing costs. Partner selection and ongoing evaluation are the response measures. - FY2023First statedAnnual report
「In the fiscal year ended March 2023, subcontracting costs accounted for 41.3% of our manufacturing costs. If we cannot obtain sufficient services from partner companies because of higher subcontracting costs or other factors, our performance and financial condition could be affected.」
New partner companies are selected and existing partners are evaluated continuously under the Subcontractor Management Regulations.